Two New Zealand women have been fined by an Israeli court for their role in singer Lorde cancelling her show in Tel Aviv.

Refusing to pay the fine, the women have instead raised thousands of dollars to donate to services in Gaza.

New Zealanders Justine Sachs and Nadia Abu-Shanab wrote an open letter to Lorde last year, petitioning her to cancel her show.

The popstar responded positively, and days later cancelled her final show of her 'Melodrama’ tour.

In January this year, Israeli law group Shurat HaDin filed an action on behalf of three minors who had bought tickets to the concert, citing mental harm, and demanding the activists pay NIS45,000 ($12,400 USD) plus court fees.

The minors had already been refunded their tickets.

The case relied on a 2011 Israeli anti-boycott law which allows for civil suits against any person or group who calls for a boycott of the Israeli state.

It is the first lawsuit to cite the controversial law, formed to oppose the BDS (Boycott, Divestment, Sanctions) movement.

The BDS movement is a global campaign to peacefully protest Israel’s illegal occupation of Palestine.